PerkinElmer's Stock Surges Toward Record High After $1.3 Billion Deal To Buy EUROIMMUN

Shares of PerkinElmer Inc. ran up 2.6% toward a record high in morning trade Monday, after the diagnostics and life sciences research company said it was buying Germany-based EUROIMMUN Medical Laboratory Diagnostics AG for $1.3 billion in cash. EUROIMMUN, with 2,400 employees, is recognized as a leader in autoimmune testing, and is growing its infectious disease and allergy testing business, with $310 million in revenue this past year. PerkinElmer expects the deal to close in the fourth quarter, and is expected to add 28 cents to 30 cents to 2018 adjusted earnings per share. The company affirmed its 2017 revenue and EPS outlook. "With the acquisition of EUROIMMUN and its talented team of professionals, we are able to leverage our combined advanced detection, imaging and assay development capabilities, along with our strong collective market positions and synergistic commercial activities, to deliver better and more complete solutions to our customers around the world," said Chief Executive Robert Friel. The stock's previous record close was $64.88 on June 5. It has now rallied 25% year to date, while the S&P 500 has gained 9.3%.